The United States’ chief of naval operations visited the shipyards of HD Hyundai and Hanwha Ocean on Saturday to check the top Korean shipbuilders’ capabilities and potential on strengthening the U.S. Navy’s battleships and naval fleet.
Admiral Daryl Caudle’s visit came after the Korean government in July proposed what it called “make American shipbuilding industry great again” (MASGA), a $150 billion investment in which Korean firms will assist in reviving the American shipbuilding industry. MASGA played a key role in helping to finalize the two countries’ negotiations regarding the U.S. tariffs, which had lasted for months.
According to HD Hyundai, Caudle and Kevin Kim, charge d’affaires ad interim at the U.S. Embassy in Seoul, met HD Hyundai Chairman Chung Ki-sun at HD Hyundai Heavy Industries’ headquarters in Ulsan. Chung introduced Caudle to HD Hyundai’s advanced shipbuilding technologies and discussed how to improve the U.S. fleet through the two countries’ strategic partnerships in naval shipbuilding.
Chung guided Caudle through the HD Hyundai subsidiary’s commercial shipbuilding facilities and the naval ship division dedicated to building the Aegis destroyers. Caudle boarded the newly launched ROKS Dasan Jeong Yak-yong — the second Aegis destroyer constructed by HD Hyundai Heavy Industries — and learned the ship’s combat systems and operational capabilities. He observed the construction of the third Aegis destroyer scheduled for launch next year and inspected production lines for other naval vessels.
“HD Hyundai will support the U.S. shipbuilding industry and strengthen the U.S. Navy’s capabilities,” Chung said. “As blood allies and close friends, we will work together to ensure the success of the MASGA.”
Hanwha Ocean CEO Kim Hee-cheul, left, guides the United States’ Chief of Naval Operations Daryl Caudle, center, through the company’s shipyard in Geoje, South Gyeongsang Province, Saturday. Courtesy of Hanwha Ocean
Caudle also visited Hanwha Ocean’s shipyard in Geoje, South Gyeongsang Province, where U.S. naval ships have had repairs and been returned. At the shipyard, the Hanwha subsidiary has been engaging in maintenance, repair and operation (MRO) missions for U.S. warships.
The company’s MRO projects began in August last year with the USNS Wally Schirra and continued with the USNS Yukon in November of the same year; both ships were completed and returned. The company began working on the USNS Charles Drew in July and plans to complete it by January.
Guided by Hanwha Ocean CEO Kim Hee-cheul, Caudle checked the company’s shipbuilding process, which uses automated welding systems like Lonji, Dandi and Indi for maximized efficiency. The shipyard’s fourth factory, the latest plant completed last month and dedicated to building special-purpose vessels using artificial intelligence and a “smart commander center,” was also of interest for the American visitor.
Kim said Hanwha Ocean is “the most trusted partner” for the U.S. Navy and an “icon of the stronger Seoul-Washington alliance.”
The Korean engineering giants are aiming to expand their market share in the global maritime industry through their expertise in shipbuilding, ship operations and shipyard management. The ongoing modernization of naval forces worldwide is also boosting the firms’ market leverage.
HD Hyundai Heavy Industries has been building warships for the Philippine Navy since 2016 and last year signed a deal with the Peruvian Navy to supply vessels. In April, the company hosted U.S. Navy Secretary John Phelan at its shipyard and gave him a tour of the ROKS Jeongjo the Great, the first next-generation Aegis destroyer.